Enter the total monthly expenses ($) and the total monthly income ($) into the Expense to Income Ratio Calculator. The calculator will evaluate and display the Expense to Income Ratio.

## Expense to Income Ratio Formula

The following formula is used to calculate the Expense to Income Ratio.

EIR = E / I * 100

• Where EIR is the Expense to Income Ratio (%)
• E is the total monthly expenses ($) • I is the total monthly income ($)

## How to Calculate Expense to Income Ratio?

The following example problems outline how to calculate Expense to Income Ratio.

Example Problem #1:

1. First, determine the total monthly expenses ($). • The total monthly expenses ($) is given as: 3,000.
2. Next, determine the total monthly income ($). • The total monthly income ($) is provided as: 7,000.
3. Finally, calculate the Expense to Income Ratio using the equation above:

EIR = E / I * 100

The values given above are inserted into the equation below and the solution is calculated:

EIR = 3,000 / 7,000 * 100 = .428 (%)

Example Problem #2:

For this problem, the variables required are provided below:

total monthly expenses ($) = 4,000 total monthly income ($) = 5,000